-
Notifications
You must be signed in to change notification settings - Fork 2
/
Copy pathlabour-req-alt.html
679 lines (491 loc) · 42.6 KB
/
labour-req-alt.html
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
132
133
134
135
136
137
138
139
140
141
142
143
144
145
146
147
148
149
150
151
152
153
154
155
156
157
158
159
160
161
162
163
164
165
166
167
168
169
170
171
172
173
174
175
176
177
178
179
180
181
182
183
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
201
202
203
204
205
206
207
208
209
210
211
212
213
214
215
216
217
218
219
220
221
222
223
224
225
226
227
228
229
230
231
232
233
234
235
236
237
238
239
240
241
242
243
244
245
246
247
248
249
250
251
252
253
254
255
256
257
258
259
260
261
262
263
264
265
266
267
268
269
270
271
272
273
274
275
276
277
278
279
280
281
282
283
284
285
286
287
288
289
290
291
292
293
294
295
296
297
298
299
300
301
302
303
304
305
306
307
308
309
310
311
312
313
314
315
316
317
318
319
320
321
322
323
324
325
326
327
328
329
330
331
332
333
334
335
336
337
338
339
340
341
342
343
344
345
346
347
348
349
350
351
352
353
354
355
356
357
358
359
360
361
362
363
364
365
366
367
368
369
370
371
372
373
374
375
376
377
378
379
380
381
382
383
384
385
386
387
388
389
390
391
392
393
394
395
396
397
398
399
400
401
402
403
404
405
406
407
408
409
410
411
412
413
414
415
416
417
418
419
420
421
422
423
424
425
426
427
428
429
430
431
432
433
434
435
436
437
438
439
440
441
442
443
444
445
446
447
448
449
450
451
452
453
454
455
456
457
458
459
460
461
462
463
464
465
466
467
468
469
470
471
472
473
474
475
476
477
478
479
480
481
482
483
484
485
486
487
488
489
490
491
492
493
494
495
496
497
498
499
500
501
502
503
504
505
506
507
508
509
510
511
512
513
514
515
516
517
518
519
520
521
522
523
524
525
526
527
528
529
530
531
532
533
534
535
536
537
538
539
540
541
542
543
544
545
546
547
548
549
550
551
552
553
554
555
556
557
558
559
560
561
562
563
564
565
566
567
568
569
570
571
572
573
574
575
576
577
578
579
580
581
582
583
584
585
586
587
588
589
590
591
592
593
594
595
596
597
598
599
600
601
602
603
604
605
606
607
608
609
610
611
612
613
614
615
616
617
618
619
620
621
622
623
624
625
626
627
628
629
630
631
632
633
634
635
636
637
638
639
640
641
642
643
644
645
646
647
648
649
650
651
652
653
654
655
656
657
658
659
660
661
662
663
664
665
666
667
668
669
670
671
672
673
674
675
676
677
678
679
<!doctype html>
<html class="no-js" dir="ltr" lang="en" xmlns="http://www.w3.org/1999/xhtml">
<head>
<meta http-equiv="X-UA-Compatible" content="IE=edge">
<meta charset="utf-8">
<title>Labour requirements for eligible clean economy ITCs - Canada.ca</title>
<meta content="width=device-width,initial-scale=1" name="viewport"/>
<link rel="schema.dcterms" href="http://purl.org/dc/terms/"/>
<!-- <link rel="canonical" href="https://www.canada.ca/en/services/taxes/child-and-family-benefits/top-up-canada-housing-benefit/get-ready.html"/>
<link rel="alternate" hreflang="en" href="https://www.canada.ca/en/services/taxes/child-and-family-benefits/top-up-canada-housing-benefit/get-ready.html"/>
<link rel="alternate" hreflang="fr" href="https://www.canada.ca/fr/services/impots/prestations-pour-enfants-et-familles/supplement-allocation-canadienne-logement/preparez-vous.html"/> -->
<!-- <meta name="description" content=""/>
<meta name="keywords" content=""/>
<meta name="author" content="Canada Revenue Agency"/>
<meta name="dcterms.title" content="/>
<meta name="dcterms.description" content=""/>
-->
<meta name="dcterms.creator" content="Canada Revenue Agency"/>
<meta name="dcterms.language" title="ISO639-2/T" content="eng"/>
<meta name="dcterms.issued" title="W3CDTF" content=""/>
<meta name="dcterms.modified" title="W3CDTF" content=""/>
<meta name="dcterms.spatial" content="Canada"/>
<meta name="dcterms.identifier" content="Canada_Revenue_Agency"/>
<!--this page contains structured data-->
<link rel="stylesheet" href="https://www.canada.ca/etc/designs/canada/wet-boew/css/wet-boew.min.css">
<link rel="stylesheet" href="https://www.canada.ca/etc/designs/canada/wet-boew/css/theme.css">
<link href="https://test.canada.ca/covid-19-guidance/proto/css/alpha-beta-banner.css" rel="stylesheet">
<link rel="stylesheet" href="https://wet-boew.github.io/themes-dist/GCWeb/GCWeb/méli-mélo/2023-10-mount-revelstoke.css">
<noscript>
<link rel="stylesheet" href="https://www.canada.ca/etc/designs/canada/wet-boew/css/noscript.min.css">
</noscript>
<link rel="stylesheet" href="https://use.fontawesome.com/releases/v5.8.1/css/all.css" integrity="sha384-50oBUHEmvpQ+1lW4y57PTFmhCaXp0ML5d60M1M7uH2+nqUivzIebhndOJK28anvf" crossorigin="anonymous">
<!-- <meta name="description" content="How to apply for the one-time top-up to the Canada Housing Benefit, get ready to apply, when to apply, when to re-apply, set up My Account, set up direct deposit" > -->
<link href="https://www.canada.ca/etc/designs/canada/wet-boew/assets/favicon.ico" rel="icon" type="image/x-icon">
<script>dataLayer = []; dataLayer1 = [];</script>
<script>!function(a){var e="https://s.go-mpulse.net/boomerang/",t="addEventListener";if("False"=="True")a.BOOMR_config=a.BOOMR_config||{},a.BOOMR_config.PageParams=a.BOOMR_config.PageParams||{},a.BOOMR_config.PageParams.pci=!0,e="https://s2.go-mpulse.net/boomerang/";if(window.BOOMR_API_key="KBFUZ-C9D7G-RB8SX-GRGEN-HGMC9",function(){function n(e){a.BOOMR_onload=e&&e.timeStamp||(new Date).getTime()}if(!a.BOOMR||!a.BOOMR.version&&!a.BOOMR.snippetExecuted){a.BOOMR=a.BOOMR||{},a.BOOMR.snippetExecuted=!0;var i,_,o,r=document.createElement("iframe");if(a[t])a[t]("load",n,!1);else if(a.attachEvent)a.attachEvent("onload",n);r.src="javascript:void(0)",r.title="",r.role="presentation",(r.frameElement||r).style.cssText="width:0;height:0;border:0;display:none;",o=document.getElementsByTagName("script")[0],o.parentNode.insertBefore(r,o);try{_=r.contentWindow.document}catch(O){i=document.domain,r.src="javascript:var d=document.open();d.domain='"+i+"';void(0);",_=r.contentWindow.document}_.open()._l=function(){var a=this.createElement("script");if(i)this.domain=i;a.id="boomr-if-as",a.src=e+"KBFUZ-C9D7G-RB8SX-GRGEN-HGMC9",BOOMR_lstart=(new Date).getTime(),this.body.appendChild(a)},_.write("<bo"+'dy onload="document._l();">'),_.close()}}(),"".length>0)if(a&&"performance"in a&&a.performance&&"function"==typeof a.performance.setResourceTimingBufferSize)a.performance.setResourceTimingBufferSize();!function(){if(BOOMR=a.BOOMR||{},BOOMR.plugins=BOOMR.plugins||{},!BOOMR.plugins.AK){var e=""=="true"?1:0,t="",n="vi2eyldachuy6x3tulvq-f-0289e9339-clientnsv4-s.akamaihd.net",i={"ak.v":"28","ak.cp":"789605","ak.ai":parseInt("231651",10),"ak.ol":"0","ak.cr":48,"ak.ipv":4,"ak.proto":"h2","ak.rid":"14dab323","ak.r":33944,"ak.a2":e,"ak.m":"dscb","ak.n":"essl","ak.bpcip":"170.52.76.0","ak.cport":10731,"ak.gh":"184.28.36.20","ak.quicv":"","ak.tlsv":"tls1.3","ak.0rtt":"","ak.csrc":"-","ak.acc":"","ak.t":"1601413867","ak.ak":"hOBiQwZUYzCg5VSAfCLimQ==8c795Kx/QaYideaXCQRQt8wt49fHiRIQZ7UVSbCrGqeyDZ9qbd9HyAZ5sxgj5FWd6JVl8qO0Sfn9m0ZXNeUcjjub4aTkF7IqLb99eF7pwF1zQqwFD5TyxIRmiM8jHK+VgUFfd7MjGO5RjCw3D3ifm2evD045YXL1jc4NALdzUi3U2uCF/q6/lZ5gPQWs9WTA11u3rGzeywuipvN8z6u+p9RpKY4BwK++rgqh64yIGeDR6zDXRaIMIcw73/MW8w4s+yuv5mdCxLe6fbPSlcDPwnncQ6XaoAXdZAKbJ/rE2dXBcOdfB/PUSIXKXb9eVnQPIM9eAFaif0S1QZPdo0oxeyeH3kiUc4DFAJXAaoRvOKPgcG2Fy27V7z4CHm4ShzkXY3Nn9KHy6Kp8/4S6aIV8Ke+/WqacmR9vz3aCBMNYjgU=","ak.pv":"549","ak.dpoabenc":""};if(""!==t)i["ak.ruds"]=t;var _={i:!1,av:function(e){var t="http.initiator";if(e&&(!e[t]||"spa_hard"===e[t]))i["ak.feo"]=void 0!==a.aFeoApplied?1:0,BOOMR.addVar(i)},rv:function(){var a=["ak.bpcip","ak.cport","ak.cr","ak.csrc","ak.gh","ak.ipv","ak.m","ak.n","ak.ol","ak.proto","ak.quicv","ak.tlsv","ak.0rtt","ak.r","ak.acc","ak.t"];BOOMR.removeVar(a)}};BOOMR.plugins.AK={akVars:i,akDNSPreFetchDomain:n,init:function(){if(!_.i){var a=BOOMR.subscribe;a("before_beacon",_.av,null,null),a("onbeacon",_.rv,null,null),_.i=!0}return this},is_complete:function(){return!0}}}}()}(window);</script></head>
<body vocab="http://schema.org/" typeof="WebPage">
<nav><ul id="wb-tphp">
<li class="wb-slc"><a class="wb-sl" href="#wb-cont">Skip to main content</a></li>
<li class="wb-slc visible-sm visible-md visible-lg"><a class="wb-sl" href="#wb-info">Skip to "About this site"</a></li>
</ul></nav>
<header>
<div id="wb-bnr" class="container">
<div class="row">
<section id="wb-lng" class="col-xs-3 col-sm-12 text-right pull-right">
<h2 class="wb-inv">Language selection</h2>
<ul class="list-inline mrgn-bttm-0">
<li> <a lang="fr" hreflang="fr" href="../fr/paiement-unique-allocation-canadienne-logement/preparez-faire-demande.html"> <span class="hidden-xs">Français</span> <abbr title="Français" class="visible-xs h3 mrgn-tp-sm mrgn-bttm-0 text-uppercase">fr</abbr> </a> </li>
</ul>
</section>
<div class="brand col-xs-9 col-sm-5 col-md-4" property="publisher" typeof="GovernmentOrganization"> <a href="en.html" property="URL"> <img src="https://www.canada.ca/etc/designs/canada/wet-boew/assets/sig-blk-en.svg" alt="Government of Canada" property="logo"> <span class="wb-inv"> / <span lang="fr">Gouvernement du Canada</span> </span></a>
<meta property="name" content="Government of Canada">
<meta property="areaServed" typeof="Country" content="Canada">
<link property="logo" href="https://www.canada.ca/etc/designs/canada/wet-boew/assets/wmms-blk.svg">
</div>
<section id="wb-srch" class="col-lg-offset-4 col-md-offset-4 col-sm-offset-2 col-xs-12 col-sm-5 col-md-4">
<h2>Search</h2>
<form action="/en/revenue-agency/search.html" method="get" name="cse-search-box" role="search">
<div class="form-group wb-srch-qry">
<label for="wb-srch-q" class="wb-inv">Search Canada.ca</label>
<input id="wb-srch-q" list="wb-srch-q-ac" class="wb-srch-q form-control" name="q" type="search" value="" size="34" maxlength="170" placeholder="Search CRA">
<input name="cdn" value="canada" type="hidden">
<input name="st" value="s" type="hidden">
<input name="num" value="10" type="hidden">
<input name="langs" value="en" type="hidden">
<input name="st1rt" value="1" type="hidden">
<input name="s5bm3ts21rch" value="x" type="hidden">
<input type="hidden" name="_charset_" value="UTF-8">
<datalist id="wb-srch-q-ac"></datalist>
</div>
<div class="form-group submit">
<button type="submit" id="wb-srch-sub" class="btn btn-primary btn-small" name="wb-srch-sub"> <span class="glyphicon-search glyphicon"></span> <span class="wb-inv">Search</span></button>
</div>
</form>
</section>
</div>
</div>
<nav class="gcweb-v2 gcweb-menu" typeof="SiteNavigationElement">
<div class="container">
<h2 class="wb-inv">Menu</h2>
<button type="button" aria-haspopup="true" aria-expanded="false"><span class="wb-inv">Main </span>Menu <span class="expicon glyphicon glyphicon-chevron-down"></span></button>
<ul role="menu" aria-orientation="vertical" data-ajax-replace="https://www.canada.ca/content/dam/canada/sitemenu/sitemenu-v2-en.html">
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/jobs.html">Jobs and the workplace</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/immigration-citizenship.html">Immigration and citizenship</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="travel.html">Travel and tourism</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/business.html">Business and industry</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/benefits.html">Benefits</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/health.html">Health</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/taxes.html">Taxes</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/environment.html">Environment and natural resources</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/defence.html">National security and defence</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/culture.html">Culture, history and sport</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/policing.html">Policing, justice and emergencies</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/transport.html">Transport and infrastructure</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="international-world.html?lang=eng">Canada and the world</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/finance.html">Money and finances</a></li>
<li role="presentation"><a role="menuitem" tabindex="-1" href="https://www.canada.ca/en/services/science.html">Science and innovation</a></li>
</ul>
</div>
</nav>
<nav id="wb-bc" property="breadcrumb">
<h2 class="wb-inv">You are here:</h2>
<div class="container">
<ol class="breadcrumb">
<li><a href="https://www.canada.ca/en.html">Canada.ca</a></li>
<li><a href="https://www.canada.ca/en/services/taxes.html">Taxes</a></li>
<li><a href="https://www.canada.ca/en/services/taxes/income-tax.html">Income Tax</a></li>
<li><a href="https://www.canada.ca/en/services/taxes/income-tax/corporation-income-tax.html">Corporation income tax</a></li>
<li><a href="https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/corporations/business-tax-credits.html">Federal tax credits</a></li>
<li><a href="https://cra-proto.github.io/clean-economy/index.html">Clean economy investment tax credits</a></li>
</ol>
</div>
</nav>
<div data-ajax-replace="/bin/canada/alert/messages.en.html" class="original"></div>
</header>
<main property="mainContentOfPage" class="container" resource="#wb-main" typeof="WebPageElement">
<h1 property="name" id="wb-cont" class="gc-thickline">Labour requirements for eligible clean economy ITCs</h1>
<!--<div class="row">
<div class="col-md-8">--!>
<p><strong>If you are an employee, you may be looking for:</strong> <a href="https://cra-proto.github.io/clean-economy/labour-req-alt_employee.html">What employees need to know about labour requirements</a></p>
<br>
<p>If you are claiming an eligible clean economy ITC, you must elect to meet certain labour requirements to benefit from the regular tax credit rate and to avoid receiving the reduced tax credit rate.</p>
<p>The 2 main aspects of the labour requirements are the prevailing wage requirements and the apprenticeship requirements.</p>
<h2 class="h3">On this page</h2>
<ul>
<li><a href="#how">How the labour requirements affect the credit rate</a></li>
<li><a href="#apply">When the labour requirements apply</a></li>
<li><a href="#prewage">Prevailing wage requirements</a></li>
<li><a href="#apprentice">Apprenticeship requirements</a></li>
<li><a href="#compliance">Consequences for non-compliance</a></li>
<li><a href="#contact">Contact us</a></li>
</ul>
<h2 id="how">How the labour requirements affect the credit rate</h2>
<p>If you elect to meet the labour requirements, you can claim the eligible clean economy ITC you have selected at the <strong>regular</strong> tax credit rate.</p>
<p>If you do <strong>not</strong> elect to meet the labour requirements, you can claim the eligible clean economy ITC you have selected at a <strong>reduced</strong> tax credit rate of <strong>10 percentage points less</strong> than the regular tax credit rate. For example, if the regular tax credit rate is 30%, the reduced tax credit rate is 20%.</p>
<p>The credit rates vary for each eligible clean economy ITC:</p>
<ul>
<li><a href="https://cra-proto.github.io/clean-economy/subway/ccus-calculate-claim.html#rates">Carbon Capture, Utilization, and Storage (CCUS) ITC credit rates</a></li>
<li><a href="https://cra-proto.github.io/clean-economy/ct-subway/ct-credit-rate.html#rate">Clean Technology (CT) ITC credit rates</a></li>
</ul>
<h2 id="apply">When the labour requirements apply</h2>
<p>To <strong>claim the regular tax credit rate</strong> for each eligible clean economy ITC you have selected to apply for, you must do <strong>both</strong> of the following for each <a class="wb-lbx" role="button" aria-controls="M" href="#M">installation <span class="nowrap"> taxation year<span class="mrgn-lft-sm far fa-question-circle"></span></span></a>:</p>
<ul>
<li><strong>Elect</strong> to meet the labour requirements</li>
<li><strong>Attest</strong> that you have met the labour requirements</li>
</ul>
<p>The labour requirements:</p>
<ul class="fa-ul">
<li><span class="fas fa-check text-success fa-li"></span>Apply in respect of specified property prepared or installed <strong>on or after</strong> November 28, 2023</li>
<li><span class="fas fa-times text-danger fa-li"></span>Do <strong>not</strong> apply to a clean economy ITC claimed for the acquisition of off-road zero emission vehicles, or the acquisition and installation of low carbon heat equipment</li>
</ul>
<h2 id="prewage">Prevailing wage requirements</h2>
<p>If you have elected to meet the labour requirements, you must comply with and attest to meeting them in order to claim the eligible clean economy ITC you have applied for at the regular tax credit rate.</p>
<ol class="lst-stps ld-zr">
<li>
<h3 id="met-pre">Meeting prevailing wage requirements</h3>
<p>Prevailing wage requirements are met by compensating <a class="wb-lbx" role="button" aria-controls="Y" href="#Y">covered <span class="nowrap">workers<span class="mrgn-lft-sm far fa-question-circle"></span></span></a> at a <a class="wb-lbx" role="button" aria-controls="P" href="#P">designated <span class="nowrap"> work site<span class="mrgn-lft-sm far fa-question-circle"></span></span></a>, in respect of their work on the preparation or installation of <a class="wb-lbx" role="button" aria-controls="J" href="#J">specified <span class="nowrap">property<span class="mrgn-lft-sm far fa-question-circle"></span></span></a>, in accordance with an <a href="#eligible">eligible collective agreement</a> that applies to the workers.</p>
<p>If covered workers are <strong>not</strong> subject to an eligible collective agreement, the prevailing wage requirements are generally met as long as the covered workers are compensated in an amount that is at least equal to the amount of wages (without taking into account overtime) and benefits (means vacation, pension, health and welfare benefits) required to be provided for employees under an eligible collective agreement that most closely aligns with the covered worker's experience level, tasks and location, and is calculated on a per hour or similar basis.</p>
<details>
<summary id="eligible">What an eligible collective agreement is for provinces and territories (other than Quebec)</summary>
<p>For provinces and territories (other than Quebec), an eligible collective agreement is defined as:</p>
<ul>
<li>The most recent multi-employer collective bargaining agreement negotiated with a trade union that is an affiliate of Canada’s Building Trades Unions (CBTU) for a given trade in a region or province</li>
<li>A project labour agreement established with a trade union that provides wages and benefits for covered workers in a given trade that are at least equal to the regular wage (without taking into account overtime) and benefits provided for covered workers in the most recent multi-employer collective bargaining agreement</li>
</ul>
<br>
<p>The most recent collective agreements can be accessed through sources such as the CBTU or trade unions that are affiliates of the CBTU.</p>
<!--<h4 id="cbtu">CBTU and trade unions that are affiliates of CBTU</h4>
<p>The following are trade unions that are affiliates of the CBTU:</p>
<ul>
<li>International Association of Heat and Frost Insulators and Allied workers (IAHFIAW)</li>
<li>International Association of Bridge, Structural, Ornamental and Reinforcing Iron Workers</li>
<li>Operative Plasterer’s and Cement Masons’ International Association of the United States And Canada (OPCMIA)</li>
<li>International Brotherhood of Electrical Workers (IBEW)</li>
<li>International Brotherhood of Teamsters</li>
<li>International Union of Bricklayers and Allied Craftworkers (BAC)</li>
<li>International Union of Elevator Constructors (IUE)</li>
<li>International Union of Operating Engineers (IUOE)</li>
<li>International Union of Painters and Allied Trades (IUPAT)</li>
<li>Laborers’ International Union of North America (LIUNA)</li>
<li>Sheet Metal, Air, Rail and Transportation Workers (SMART)</li>
<li>United Association of Journeymen, Apprentices of the Plumbing and Pipefitting Industry of the united States and Canada (UA)</li>
</ul>
--!>
<p>Refer to: <a href="https://buildingtrades.ca/">Canada’s Building Trades Unions </a></p>
</details>
<details>
<summary>What an eligible collective agreement is for Quebec</summary>
<p>In Quebec, an eligible collective agreement is defined as a collective agreement negotiated in accordance with applicable provincial law.</p>
<p>Refer to: <a href="https://www.ccq.org/en/loi-r20/conventions-collectives">Collective agreements for Quebec</a></p>
</details>
</li>
<li>
<h3>Communicating prevailing wage requirements</h3>
<p>You <strong>must</strong> communicate to employees:</p>
<ul>
<li>That a designated work site is subject to prevailing wage requirements in relation to covered workers</li>
<li>How they can report to the CRA any failures to pay prevailing wages</li>
</ul>
<br>
<p>This information <strong>must</strong> be communicated:</p>
<ul>
<li>By electronic means, or in a notice or poster</li>
<li>In a manner that is readily visible to and accessible by covered workers</li>
<li>In a plain language format explaining what it means for workers</li>
</ul>
<br>
<p>How to report non-compliance: <a href="https://www.canada.ca/en/revenue-agency/programs/about-canada-revenue-agency-cra/suspected-tax-cheating-in-canada-overview.html">Report suspected tax cheating in Canada</a></p>
<!--<p>Employees can report failures to meet prevailing wage requirements to the Minister of National Revenue (Minister).</p>
<p>Refer to: <a href="https://www.canada.ca/en/revenue-agency/programs/about-canada-revenue-agency-cra/suspected-tax-cheating-in-canada-overview.html">Report suspected tax cheating in Canada</a></p> --!>
</li>
<li>
<h3>Determining if prevailing wage requirements were met</h3>
<p>There are various factors to consider when determining if labour requirements for prevailing wages have been met. </p>
<details>
<summary>Factors to consider for prevailing wage requirements</summary>
<p>The following list is non-exhaustive and only meant to provide general guidance for potential eligible clean economy ITC claimants.</p>
<p>Consider:</p>
<ul>
<li>How the wages were calculated for covered workers</li>
<li>How the value of the benefits paid to covered workers (vacation, pension, health and welfare) was determined</li>
<li>What <a href="#eligible">eligible collective agreement</a> was used and why</li>
<ul><li>The name(s) of the eligible collective agreement(s) that were obtained</li></ul>
<ul><li>List the eligible collective agreement(s) that were used to determine compensation, including regular wages and benefits </li></ul>
<ul><li>Provide reasoning as to why certain collective agreements and/or wage schedules within those agreements were or were not used</li></ul>
<li>The eligible collective agreement that was used was not expired</li>
<ul><li>If it was expired, and has not yet been replaced with an updated agreement (for example negotiations are ongoing), the amounts of wages and benefits stipulated in the agreement must be adjusted by the average Consumer Price Index for each calendar year that begins after the expiration</li></ul>
<li>The efforts made to ensure sub contractors were aware of the labour requirements</li>
<li>The efforts made to ensure sub contractors conveyed the labour requirements to any sub-sub contractors</li>
<li>The project labour agreement that covers the work associated with the eligible clean economy ITCs was signed</li>
<li>How the information was communicated to covered workers </li>
<li>If projects were under construction prior to November 28, 2023, that a review was made to verify that prevailing wage requirements were met starting from November 28, 2023</li>
</ul>
</details>
</li>
<li>
<h3>Attesting to prevailing wage requirements</h3>
<p>You <strong>must</strong> attest that you have <a href=#met-pre>met the prevailing wage requirement</a> for covered workers for each installation taxation year.</p>
<p>You <strong>must</strong> complete the attestation section on the prescribed form for the related eligible clean economy ITC you are claiming. Until the form becomes available, you must include an attestation as part of the information you include with your return when claiming eligible clean economy ITCs.</p>
<p>There are consequences for not complying with the labour requirements.</p>
<p>Refer to: <a href="#compliance">Consequences for non-compliance</a></p>
</li>
</ol>
<!-- <p>For more information, refer to: <a href="">Subsection 127.46 (3), Prevailing wage requirements</a></p> --!>
<h2 id="apprentice">Apprenticeship requirements</h2>
<p>If you have elected to meet the labour requirements, you must comply with and attest to meeting them in order to claim the eligible clean economy ITC you have applied for at the regular tax credit rate.</p>
<ol class="lst-stps ld-zr">
<li>
<h3 id="met-app">Meeting apprenticeship requirements</h3>
<p>Generally, the apprenticeship requirements are met by making <a href="#effort">reasonable efforts</a> to ensure that apprentices registered in a <a class="wb-lbx" role="button" aria-controls="Z" href="#Z">Red<span class="nowrap"> Seal trade<span class="mrgn-lft-sm far fa-question-circle"></span></span></a> work at least <strong>10%</strong> of the total hours that are worked during the year by <a class="wb-lbx" role="button" aria-controls="K" href="#K">Red<span class="nowrap"> Seal workers<span class="mrgn-lft-sm far fa-question-circle"></span></span></a> at a designated work site of the incentive claimant on the preparation or installation of specified property.</p>
<details>
<summary id="effort">Make reasonable efforts to meet apprenticeship requirements</summary>
<p>For the purposes of apprenticeship requirements, in respect of labour performed by apprentices registered in a Red Seal trade, you will be deemed to have made the reasonable efforts in respect of hours of labour if certain conditions are met.</p>
<p>For example, at least every <strong>4 months</strong>:</p>
<ul>
<li>You <strong>must</strong> post a bona fide job advertisement, seeking sufficient apprentices to perform those hours of labour at the designated work site</li>
<ul><li>The advertisement must include a commitment to facilitate participation of apprentices in a Red Seal trade program, and statement that the job opportunity is open to both existing employees and new hires </li></ul>
<ul><li>This job advertisement must be open and readily accessible on the <a href="https://www.jobbank.gc.ca/home">Job Bank</a> website of the Government of Canada <strong>and</strong> at least 2 other websites either on a continuous basis throughout the year or for at least 30 days from the time of posting</li></ul>
<li>You <strong>must</strong> communicate with a trade union and at least one secondary school or post-secondary educational institution for the purpose of facilitating the hiring of the apprentice positions described in the job advertisement</li>
<ul><li>If the designated work site is outside of Quebec, the trade union must be an affiliate of Canada's Building Trades Unions (CBTU)</li></ul>
<ul><li>If the designated work site is in Quebec, the trade union must be recognized under applicable provincial law</li></ul>
<li>You <strong>must</strong> receive a confirmation in writing from the trade union that the trade union has provided as many apprentices as reasonably possible for work at the designated work site during the installation year, unless the trade union fails to respond within 5 business days of a request</li>
</ul>
<br>
<p>You <strong>must</strong> review and duly consider all applicants received in response to the advertisement for apprenticeship opportunities that are offered directly by you, and take reasonable steps to ensure that other applicants are reviewed and duly considered.</p>
</details>
<details>
<summary id="law">If the applicable law or collective agreement restricts the percentage of apprentices below 10%</summary>
<p>If the applicable law or collective agreement restricts the percentage of apprentices below 10%, you must make efforts to come as close as possible to meeting the 10%, without breaking the other applicable rules. </p>
<details>
<summary>Example: Restrictions on the percentage of apprentices</summary>
<p>An employer required 11 electricians to complete an installation. Under an applicable collective agreement, at the most, there can only be 1 apprentice for every 10 journeypersons on site.</p>
<p>If they all work the same number of hours per day, then the highest possible percentage of hours performed by apprentices would be 9%.</p>
<p>The employer would still be compliant with the apprenticeship requirements because it is required by the collective agreement. </p>
</details>
</details>
</li>
<li>
<h3>Determining if apprenticeship requirements were met</h3>
<p>There are various factors to consider when determining if labour requirements for apprenticeships have been met. </p>
<details>
<summary>Factors to consider for apprenticeship requirements</summary>
<p>The following list is non-exhaustive and is only meant to provide general guidance for potential ITC claimants.</p>
<p>Consider:</p>
<ul>
<li>The calculation made to confirm that at least 10% of the total labour hours worked during the year by workers in the Red Seal trades have been performed by apprentices registered in a Red Seal trade (or equivalent) at a designated work site</li>
<li>If the applicable law or collective agreement <a href="#law">restricts the percentage of apprentices below 10%</a></li>
<li>If projects were under construction prior to November 28, 2023, that a review was made to verify that apprenticeship requirements were met starting from November 28, 2023 </li>
</ul>
</details>
</li>
<li>
<h3>Attesting to apprenticeship requirements</h3>
<p>You <strong>must</strong> attest that you have <a href="#met-app">met the apprenticeship requirements</a> for apprentices registered in a Red Seal trade for each installation tax year.</p>
<p>You <strong>must</strong> complete the attestation section on the prescribed form for the related eligible clean economy ITC you are claiming. Until the form becomes available, you must include an attestation as part of the information you include with your return when claiming eligible clean economy ITCs.</p>
<p>There are consequences for not complying with the labour requirements.</p>
<p>Refer to: <a href="#compliance">Consequences for non-compliance</a></p>
</li>
</ol>
<!-- <p>For more information, refer to:</p>
<ul>
<li><a href="">Subsection 127.46 (5), Apprenticeship requirements</a></li>
<li><a href="">Subsection 127.46 (16), Deemed reasonable efforts</a></li>
</ul>
--!>
<h2 id="compliance">Consequences for non-compliance</h2>
<p>There are consequences for not complying with the labour requirements if you have attested and elected to meet the labour requirements and claimed the credit at the regular rate. </p>
<h3>Addition to tax for prevailing wages not compensated</h3>
<p>You will be liable to pay a dollar amount per day for each day in the installation taxation year, for each covered worker that was not paid the prevailing wage, except when <a href="#gross">gross negligence</a> applies. The dollar amount will be $20 in 2023 and will be adjusted for inflation in each calendar year after 2023.</p>
<p>You may also be liable to pay a corrective measure in the form of a top-up amount to each covered worker as per notification from the Minister.</p>
<ul>
<li>This amount is the difference between prevailing wages that were required to have been paid to the covered worker and the amount that the covered worker was actually paid for the year, <strong>plus interest</strong></li>
</ul>
<p>You have <strong>one year</strong> after receipt of the notification to pay the top-up amount.</p>
<ul>
<li>If you do not pay the top-up amount, you will be liable to pay a penalty of 120% of the top-up amount that was determined for each covered worker</li>
</ul>
<h3>Penalty for apprenticeship hours not met</h3>
<p>You will be liable to pay a dollar amount multiplied by the difference between the total hours of labour that were required to be performed by apprentices of Red Seal trades, and the total hours of labour that were actually performed by apprentices of Red Seal trades, plus any other hours of labour for which you met the apprenticeship requirements. The dollar amount will be $50 in 2023 and will be adjusted for inflation in each calendar year after 2023.</p>
<h3 id="gross">Gross negligence penalty</h3>
<p>Where failure to meet prevailing wage and apprenticeship requirements is intentional or in circumstances amounting to gross negligence, you will be:</p>
<ul>
<li>Disentitled to the regular tax credit rate and entitled only to the reduced tax credit rate </li>
<li>Liable to pay a penalty equal to 50% of the difference between the amount of the clean economy ITC claimed and the amount that you would have been entitled to under the reduced rate</li>
</ul>
<p>In circumstances amounting to gross negligence, the other penalties and corrective measures do not apply.</p>
<details>
<summary>If you are a partnership</summary>
<p>If you are a partnership that is subject to a tax or penalty, then any member of the partnership may elect to pay the amount of the relevant tax or penalty on behalf of the partnership.</p>
<p>Where no election has been made, the portion of the relevant tax or penalty that can reasonably be considered to be each member’s share is payable by each member.</p>
<p>Each member of the partnership is jointly and severally, or for civil law, solidarity, liable for any portion of the amount of the relevant penalty that is not paid as per the election or allocated according to each member’s share.</p>
</details>
<h2 id="contact">Contact us</h2>
<p>Call the CRA if you have questions about the labour requirements.</p>
<div id="ajax-fraser">
<h3>Fraser Valley and Interior Tax Services Office</h3>
<dl class="dl-horizontal brdr-0">
<dt>By phone:</dt> <dd><dl class="dl-horizontal mrgn-lft-0 brdr-0">
<dt style="clear: none; padding-top: 0px;"><strong>Telephone number:</strong></dt> <dd style="padding-top: 0px;"><p><a href="tel:18665784538" class="hidden-md hidden-lg nowrap"><span class="fas fa-phone fa-flip-horizontal"></span>1-866-578-4538<span class="wb-inv"> (opens up phone application)</span></a><strong class="hidden-xs hidden-sm nowrap"><span class="fas fa-phone fa-flip-horizontal"></span>1-866-578-4538</strong></p>
</dd> <dt>Hours:</dt> <dd><table class="table brdr-bttm">
<caption class="wb-inv">Dedicated TTY number hours</caption>
<thead><tr><th class="wb-inv" scope="col">Date</th>
<th class="wb-inv" scope="col">Hours</th>
</tr></thead><tbody><tr><td>Monday to Friday</td>
<td><strong>8 am to 4 pm</strong> (local time)</td>
</tr><tr><td>Saturday and Sunday</td>
<td>Closed</td>
</tr></tbody></table>
<p>Closed on <a href="/en/revenue-agency/services/tax/public-holidays.html">public holidays</a></p>
</dd></dl>
</dd> <dt>By mail:</dt> <dd><p>Canada Revenue Agency<br>
Scientific Research and Experimental Development Division<br>
9755 King George Blvd<br>
Surrey BC V3T 5E1</p>
</dd>
</dl>
</div>
</section>
<!--</div>
</div> --!>
<section id="Y" class="mfp-hide modal-dialog modal-content overlay-def">
<header class="modal-header">
<h2 class="modal-title">Covered workers</h2>
</header>
<div class="modal-body">
<p>A covered worker is an individual (other than a trust):</p>
<ul>
<li>Who is engaged in the preparation or installation of specified property at a designated work site</li>
<li>Whose work or duties in respect of the designated work site are primarily manual or physical in nature</li>
</ul>
<p>Covered workers include:</p>
<ul>
<li>Workers who you employ</li>
<li>Employees of any other person or partnership (contractor or subcontractor)</li>
</ul>
<p>A covered worker is <strong>not</strong>:</p>
<ul>
<li>An administrative, clerical or executive employee</li>
<li>A business visitor to Canada as described in section 187 of the Immigration and Refugee Protection Regulations</li>
</ul>
<p><a href="https://www.canada.ca/en/immigration-refugees-citizenship/services/visit-canada/business/visitors-events-conferences.html#step-1" target="blank">Find out if you're a business visitor</a></p>
</div>
</section>
<section id="K" class="mfp-hide modal-dialog modal-content overlay-def">
<header class="modal-header"><h2 class="modal-title">Red Seal worker</h2></header>
<div class="modal-body">
<p>A covered worker whose duties are, or are equivalent to, those duties normally performed by workers in a Red Seal trade.</p>
</div>
</section>
<section id="Z" class="mfp-hide modal-dialog modal-content overlay-def">
<header class="modal-header"><h2 class="modal-title">Red Seal trades</h2></header>
<div class="modal-body">
<p>Red Seal trade means, for a province using the Red Seal Program for a particular trade, the relevant Red Seal trade managed by the Canadian Council of Directors of Apprenticeship and, in any other case, an equivalent provincially registered trade.</p>
</div>
</section>
<section id="J" class="mfp-hide modal-dialog modal-content overlay-def">
<header class="modal-header"><h2 class="modal-title">Specified property</h2></header>
<div class="modal-body">
<p>Property where some or all of the cost qualifies for an eligible clean economy ITC.</p>
</div>
</section>
<section id="M" class="mfp-hide modal-dialog modal-content overlay-def">
<header class="modal-header"><h2 class="modal-title">Installation taxation year</h2></header>
<div class="modal-body">
<p>Installation taxation year, in respect of an eligible clean economy ITC, means a taxation year during which preparation or installation of specified property occurs.</p>
</div>
</section>
<section id="P" class="mfp-hide modal-dialog modal-content overlay-def">
<header class="modal-header"><h2 class="modal-title">Designated work site</h2></header>
<div class="modal-body">
<p>Designated work site in a taxation year of an incentive claimant means a work site where specified property of an incentive claimant is located during the year and includes the site of a CCUS project of the incentive claimant. </p>
</div>
</section>
<div class="mwsgeneric-base-html parbase section">
<div class="container pagedetails">
<dl id="wb-dtmd">
<dt>Date modified: </dt>
<dd>
<time property="dateModified">2024-04-11</time>
</dd>
</dl>
</div>
</div>
</main>
<footer>
<footer id="wb-info">
<h2 class="wb-inv">About this site</h2>
<div class="gc-contextual">
<div class="container">
<nav>
<h3>Canada Revenue Agency (CRA)</h3>
<ul class="list-col-xs-1 list-col-sm-2 list-col-md-3"><li><a href="/en/revenue-agency/corporate/contact-information.html">Contact the CRA</a></li><li><a href="/en/revenue-agency/corporate/about-canada-revenue-agency-cra.html">About the CRA</a></li><li><a href="/en/revenue-agency/programs/about-canada-revenue-agency-cra/compliance.html">Compliance and enforcement</a></li></ul>
</nav>
</div>
</div>
<div class="gc-main-footer">
<div class="container">
<nav>
<h3>Government of Canada</h3>
<ul class="list-col-xs-1 list-col-sm-2 list-col-md-3"><li><a href="https://www.canada.ca/en/contact.html">All contacts</a></li>
<li><a href="https://www.canada.ca/en/government/dept.html">Departments and agencies</a></li>
<li><a href="https://www.canada.ca/en/government/system.html">About government</a></li></ul>
<h4><span class="wb-inv">Themes and topics</span></h4>
<ul class="list-unstyled colcount-sm-2 colcount-md-3"><li><a href="https://www.canada.ca/en/services/jobs.html">Jobs</a></li>
<li><a href="https://www.canada.ca/en/services/immigration-citizenship.html">Immigration and citizenship</a></li>
<li><a href="https://travel.gc.ca/">Travel and tourism</a></li>
<li><a href="https://www.canada.ca/en/services/business.html">Business</a></li>
<li><a href="https://www.canada.ca/en/services/benefits.html">Benefits</a></li>
<li><a href="https://www.canada.ca/en/services/health.html">Health</a></li>
<li><a href="https://www.canada.ca/en/services/taxes.html">Taxes</a></li>
<li><a href="https://www.canada.ca/en/services/environment.html">Environment and natural resources</a></li>
<li><a href="https://www.canada.ca/en/services/defence.html">National security and defence</a></li>
<li><a href="https://www.canada.ca/en/services/culture.html">Culture, history and sport</a></li>
<li><a href="https://www.canada.ca/en/services/policing.html">Policing, justice and emergencies</a></li>
<li><a href="https://www.canada.ca/en/services/transport.html">Transport and infrastructure</a></li>
<li><a href="https://international.gc.ca/world-monde/index.aspx?lang=eng">Canada and the world</a></li>
<li><a href="https://www.canada.ca/en/services/finance.html">Money and finance</a></li>
<li><a href="https://www.canada.ca/en/services/science.html">Science and innovation</a></li>
<li><a href="https://www.canada.ca/en/services/indigenous-peoples.html">Indigenous peoples</a></li>
<li><a href="https://www.canada.ca/en/services/veterans.html">Veterans and military</a></li>
<li><a href="https://www.canada.ca/en/services/youth.html">Youth</a></li></ul>
</nav>
</div>
</div>
<div class="gc-sub-footer">
<div class="container d-flex align-items-center">
<nav>
<h3 class="wb-inv">Government of Canada Corporate</h3>
<ul>
<li><a href="https://www.canada.ca/en/social.html">Social media</a></li>
<li><a href="https://www.canada.ca/en/mobile.html">Mobile applications</a></li>
<li><a href="https://www.canada.ca/en/government/about.html">About Canada.ca</a></li><li><a href="https://www.canada.ca/en/transparency/terms.html">Terms and conditions</a></li>
<li><a href="/en/revenue-agency/corporate/privacy-notice.html">Privacy</a></li></ul>
</nav>
<div class="wtrmrk align-self-end">
<img src="https://wet-boew.github.io/themes-dist/GCWeb/GCWeb/assets/wmms-blk.svg" alt="Symbol of the Government of Canada"/>
</div>
</div>
</div>
</footer>
</footer>
<script type="text/javascript">_satellite.pageBottom();</script>
<script src="https://www.canada.ca/etc.clientlibs/clientlibs/granite/jquery.min.js"></script>
<script src="https://www.canada.ca/etc.clientlibs/clientlibs/granite/utils.min.js"></script>
<script src="https://www.canada.ca/etc/designs/canada/clientlib-publish.min.js"></script>
<script src="https://www.canada.ca//ajax.googleapis.com/ajax/libs/jquery/2.2.4/jquery.min.js" integrity="sha256-BbhdlvQf/xTY9gja0Dq3HiwQF8LaCRTXxZKRutelT44=" crossorigin="anonymous"></script>
<script src="https://www.canada.ca/etc/designs/canada/wet-boew/js/wet-boew.min.js"></script>
<script src="https://www.canada.ca/etc/designs/canada/wet-boew/js/theme.min.js"></script>
<script src="https://cdn.botframework.com/botframework-webchat/4.9.1/webchat-es5.js"></script>
</body>
</html>